Thursday, U.S. Senator Todd Young (R-Ind.), Chairman of the Subcommittee on Surface Transportation, Freight, Pipelines, and Safety, convened a subcommittee hearing titled “Grand Theft Cargo: Examining a Costly Threat to Consumers to the U.S. Supply Chain.”
The hearing focused on the rise in cargo theft, and specifically on crimes within the supply chain like brokering scams, fraudulent trucking companies, and train robberies by highly organized gangs. The hearing examined potential solutions, including increased coordination and enforcement by federal agencies like the Federal Motor Carrier Safety Administration and the Department of Homeland Security to stop these criminal enterprises.
During his opening remarks, Young highlighted how PFL, a third-party logistics company in Evansville, Indiana, lost a $60,000 shipment when its cargo was stolen by a previously trusted carrier.
“Obviously, that is a devastating loss to a small company, one that is ultimately absorbed by its employees and customers. PFL is one of many companies who have fallen victim to a rising wave of cargo theft across the country and are asking for Congress to partner with their industry to address this threat,” said Young.
Since the COVID pandemic, cargo theft has surged across the country, reaching, by some calculations, a decade-long high. Once carried out by crude criminals, now with the rise of e-commerce, this crime domain includes sophisticated domestic and international groups – from China, Eastern Europe and Mexico.
Young said that cargo theft is difficult to spot and stop because it takes so many forms. Homeland Security Investigations estimates that the annual loss from cargo theft “accounts for $15-35 billion annually.”
Full video of Young’s opening remarks can be viewed here.
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